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Aggregator encourages consumers to back brokers amid ASIC review

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Australian Broker | 18 Mar 2016, 08:10 AM Agree 0
Leading aggregator launches consumer initiative encouraging satisfied broker clients to support the broker channel in light of ASIC's remuneration review
  • Broker | 18 Mar 2016, 09:17 AM Agree 0
    If this enquiry was about client satisfaction we would all have nothing to worry about.
  • Denise Brailey | 18 Mar 2016, 11:59 AM Agree 0
    This is tragic for brokers because consumers are complaining approximately two years in to a 30 years loan. It's the lenders that are under fire. We have been asking consumers to continue to be friendly with brokers. They are both in the same boat of confusion. ASIC suggest brokers is to blame. We do not. Senators have held more than a dozen inquiries including into the banking and finance industry and no doubt more will follow. They want to know what the lenders were doing in the approval of unverified and unaffordable loans. Brokers do not approve loans.
  • Broker SA | 18 Mar 2016, 02:02 PM Agree 0
    Politicians don't seem to understand the value of the service that is provided to customers via the broker channel. If they did then they wouldn't be making the review in the first place.

    With supermarkets in Australia it is continually encouraged to have more competition so that the big guys, Coles and Woolworths don't take advantage of the consumer. Brokers introduce healthy competition in the way of non-banks and other lenders so that not all the business goes only to the big 4. We bring to the attention to the consumer options that they have when they look at their credit financial situation that they wouldn't otherwise know about if they just looked at one lender. Brokers do much of the work on behalf of the lenders, if we didn't then more staff would need to be put on and who knows maybe their profit margins would go down?! We spend much more thorough time with each client than would be possible at a branch level or solely on a on-line application.

    Whenever politicians do get involved and ASIC approves changes such as increased rates on investment properties, reduced commissions, claw backs etc the only winners seam to be the big banks. I can't hear them asking how it benefits the consumer at all, they are just worried that somebody is being paid for doing the job they are engaged to do! Brokers ensure that the big 4 have some healthy competition with the smaller lenders who have very competitive products.

    Imagine how much ASIC will lose with the closure of credit rep fees and licences if this killed off our industry?

    Where would all the brokers go for new employment? Back to the banks and lenders?
  • OzBoy | 21 Mar 2016, 09:32 AM Agree 0
    What a fantastic initiative, well done to everyone at AFG. I hope the campaign is a huge success. Thank you!
  • Marty | 21 Mar 2016, 02:45 PM Agree 0
    Well done AFG. I'm with Connective but I have just written to my local pollie using the AFG website.
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